Energy Stocks Falling as Earnings are Assessed

Hawaiian Electric Industries Inc. (NYSE:HE) reported higher profit for the fourth quarter as revenue showed growth. Net income for Hawaiian Electric Industries Inc. rose to $34.7 million (36 cents per share) vs. $25.2 million (26 cents per share) in the same quarter a year earlier. This marks a rise of 37.8% from the year earlier quarter. Revenue rose 22.3% to $851 million from the year earlier quarter. Hawaiian Electric Industries Inc. fell in line with the mean analyst estimate of 36 cents per share. It beat the average revenue estimate of $703 million.

“Our improved earnings help us fund the upfront investments necessary to support Hawaii’s move to clean energy. We are continuing to reinvest earnings in an aggressive infrastructure program to modernize the electric grid for reliability and to prepare it for significant amounts of renewable energy. In 2011 alone, we invested over $200 million in utility infrastructure which is twice the utilities’ 2011 earnings,” said Constance H. Lau, HEI president and chief executive officer.

Competitors to Watch: Edison International (NYSE:EIX), Portland General Electric Co. (NYSE:POR), PG&E Corporation (NYSE:PCG), IDACORP, Inc. (NYSE:IDA), NV Energy, Inc. (NYSE:NVE), UniSource Energy Corp. (NYSE:UNS), PNM Resources, Inc. (NYSE:PNM), Pinnacle West Capital Corp. (NYSE:PNW), and The AES Corporation (NYSE:AES).

Noble Energy Inc. (NYSE:NBL) reported its results for the fourth quarter. Reported a loss of $296 million ($1.67 per diluted share) in the quarter. Noble Energy Inc. had a net income of $52 million or 29 cents per share in the year earlier quarter. Revenue rose 25.8% to $985 million from the year earlier quarter. Noble Energy Inc. reported adjusted net income of $1.18 per share. By that measure, the company beat the mean estimate of $1.11 per share. Analysts were expecting revenue of $965.4 million.

Charles D. Davidson, Noble Energy’s Chairman and CEO, commented, “Noble Energy closed out 2011 with record production for the fourth quarter while significantly progressing our inventory of major projects. First production was reached at Aseng offshore Equatorial Guinea seven months ahead of schedule and 13 percent below budget. We are positioned to deliver production from Galapagos and South Raton in the Gulf of Mexico in the first half of 2012. We continue to mature our Eastern Mediterranean portfolio, where the development at Tamar is progressing on schedule and on budget and the recent appraisal drilling at Leviathan has increased the estimated resources of the field. The discovery at Cyprus, along with the Tanin discovery announced this week, increased gross estimated mean resources discovered in the Levant Basin to approximately 35 Tcf. Balancing our growing international portfolio are two lower-risk onshore U.S. developments. Production out of the DJ Basin continues to grow led by the horizontal program which completed 25 wells in the fourth quarter. The Marcellus JV is growing production, and we began to operate our first rig in early 2012 in the wet gas portion of the acreage. Financially, we have increased our liquidity position to support our major project developments. We are exceptionally well positioned for continued growth and delivery of value to our shareholders.”

Competitors to Watch: Marathon Oil Corporation (NYSE:MRO), Anadarko Petroleum Corp. (NYSE:APC), EOG Resources, Inc. (NYSE:EOG), Newfield Exploration Co. (NYSE:NFX), Chevron Corporation (NYSE:CVX), Apache Corporation (NYSE:APA), Harvest Natural Resources, Inc. (NYSE:HNR), Murphy Oil Corporation (NYSE:MUR), Crimson Exploration Inc. (NASDAQ:CXPO), and ATP Oil & Gas Corporation (NASDAQ:ATPG).

To contact the reporter on this story: Derek Hoffman at staff.writers@wallstcheatsheet.com

To contact the editor responsible for this story: Damien Hoffman at editors@wallstcheatsheet.com